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Lexus in no hurry to be a big player in China

For a while now, China's spiraling wealth, population and development has had the world's luxury automakers in an expansionist fervor, with many executives exhibiting the sort of gleefully maniacal behavior historically reserved for gold-rush prospectors. Yet Toyota, of all companies, is exercising a surprising amount of caution in the Asian nation.
As The Wall Street Journal notes, Toyota's premium brand, Lexus, sold all of 64,000 vehicles in China last year, while BMW cleared its books of 326,000. In fact, it didn't even bother entering the market until 2005, while rival Audi built its first car in the market a decade and a half earlier. Even now, Lexus doesn't build any vehicles in China, and with the country's notoriously high tariffs on imports, that's a major disadvantage. Yet the business daily quotes Lexus executive vice president Mark Templin as saying that the brand is nowhere near ready to start building cars in the market. "We're not having those discussions about when we're going to go to China... We have a lot of work to do before we get to that point."
Part of that work includes establishing a more expansive dealer network - Lexus only had 99 stores as of 2012, while rival Mercedes-Benz had over two-and-a-half times as many, and it's still expanding. Adding a lot of dealers without having a goodly number of competitively priced offerings for them to sell may seem like an odd strategy, but Templin tells the WSJ that the goal is to "cultivate our image for quality and customer service and let the customers that we have go tell that story for us."

Lexus to use BMW 3.0-liter straight-six in next-gen IS sedan?

Here's a rumor so wild it needs a U.S. Fish and Wildlife permit. Japan's Best Car magazine reports that the next-generation Lexus IS will offer BMW's B58 3.0-liter inline-six as one of four powertrain options. That's the same engine found in the new Toyota Supra with 335 horsepower and 365 pound-feet of torque. What's more, the fourth-gen IS will resurrect the IS F model gone AWOL during the current third generation, and do it with the twin-turbo V6 from the Lexus LS 500. The current TTV6 makes the same 416 hp in the LS 500 as the 5.0-liter V8 did in the first Lexus IS F 12 years ago. According to the magazine, the other engine options would be Toyota's 2.0-liter turbocharged four-cylinder, a 2.5-liter for a hybrid model, and a 2.4-liter turbo. We don't know where that last engine fits in. BMW doesn't make a 2.4-liter, and Toyota appears to have retired all of its 2.4-liter applications. Ignoring that, the 3.0-liter straight-six looks like it would replace the current 3.5-liter V6 rated at 311 hp and 280 lb-ft. This wouldn't be the first time the Supra's engine has been ported to the IS. Lexus mavens will remember that two years after the introduction of the original IS in 1998, Lexus put the Supra's 2JZ 3.0-liter straight-six engine in the IS 300 — without the turbochargers, thank you. But Best Car's prediction would have zero relation to history. Those were both Toyota engines back in 2000, and even ignoring the power differential, the IS didn't compete with the Supra. Putting BMW's 3.0-liter in the Z4 and the Supra works because they are the same car. And again, even ignoring the power differential, the more powerful Z4 doesn't compete with the Supra. Best Car's scenario has BMW selling one of its best engines for use in a direct competitor to the 3 Series. Lexus would need to design an engine bay long enough to swallow an inline-six, not a bread-and-butter engine for the brand, yet still be sensible for three more compact powerplants. Then, assuming BMW and Toyota made the same deal as with the Z4 and Supra, the Lexus would be down by a healthy double-digit horsepower margin on its German foe. The new Supra gives up 47 hp to the roadster. Where's the upside? It's said the trim sedan will stay about the same size, on a wheelbase roughly four centimeters longer, but lose a substantial chunk of weight.

Toyota recalls 1.37 million more vehicles for Takata airbags

Toyota is expanding its passenger-side Takata airbag inflator recall campaign by an additional 1.37 million vehicles in the United States. The models covered under this broadened recall are the 2003-2007 Corolla, Matrix, and Lexus SC430; the 2005-2006 Tundra; and the 2005-2007 Sequoia. In total, Toyota says that this expansion brings the number of its vehicles covered under the Takata inflator recall in the US to 2.915 million. For these latest models, owners will be notified by mail soon. The move is similar to a recent decision by Honda to broaden its recall list. As with millions of other vehicles covered under these recalls, it's possible for exposure to moisture to cause the inflator to ignite too quickly in an airbag deployment. This can cause shrapnel to be sprayed at occupants. At least seven deaths have been potentially linked to these ruptures worldwide. TOYOTA EXPANDS TAKATA AIRBAG SAFETY RECALL TORRANCE, Calif., June 16, 2015 – Toyota Motor Sales, USA, Inc. today announced that it is expanding its recalls involving Takata front passenger airbag inflators. Based on recent information from Takata and the National Highway Traffic Safety Administration (NHTSA), Toyota will recall approximately 1,365,000 additional 2003-2007 Corolla and Corolla Matrix; 2005-2006 Tundra; 2005-2007 Sequoia; 2003-2007 Lexus SC430 vehicles. This brings the total number of Toyota and Lexus vehicles covered by Takata recalls in the U.S. to approximately 2,915,000. In the involved vehicles, the front passenger airbag inflators could potentially be susceptible to rupture when deployed and seriously injure vehicle occupants. "Toyota's focus remains on the safety and security of our customers, and we will continue to respond promptly to new developments so we can resolve issues for them as quickly, conveniently and safely as possible," said Dino Triantafyllos, chief quality officer, Toyota Motor North America. Multiple investigations into the root cause of the potential for inflator rupture are taking place, including by Orbital ATK, an independent engineering firm commissioned by an industry-wide joint testing initiative comprised of the ten automotive manufacturers conducting Takata-related recalls. All known owners of the affected Toyota / Lexus vehicles will be notified by first class mail to return their vehicles to a Toyota / Lexus dealer. The dealer will replace the airbag inflator with a newly manufactured one.